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Ethereum is one of the most well known cryptocurrencies like bitcoin. It is distributed all over a platform which is based on the public blockchain which is an open source forum. Its works on a Virtual Ethereum Machine (VEM) which works in a decentralized tuning manner as script in international network of public node. In ethereum the word “ether” is referred as a token which is actually transferred from a user to another user it also ensures a the transfer which is done by the customer should be through a fast and healthy network.
It was first proposed in 2014 in a bitcoin conference by Mr. Vitalik Buterin which is held in Miami, USA from where the development of the software is started. After the publication of the software it is known that the development is funded by crowsale of public on July-August 2014.
It is one the most popular digital currency which works on a peer to peer contact network which works on a EVM and as it works in a decentralized manner the chances of hacking the system is very less so it mains the safety and security of the cryptocurrency wallet.
In the year 2017 it has became one of the most valuable cryptocurrencies by displacing Bitcoin which is called flipping as it value was increasing in rapid pace. In a very short duration of time it has grown its value to dozens times and attacted many investors towards itself. So you can also take a part in these investments by following some simple procedures.
It is also a decentralized payment system which was first introduced in 2015 and the only software that enables the smart contact with the help of which can use the payment option without any control, fraud or any third party interference. It acts like a token system in the Ethereum platform which is also secure for the transactions. After its launch it also gain much popularity for its unique cryptograpy used in it.
How Digital currency or Crypto currency works
To know how cryptocurrency works you have to understand the term public ledger and mining
Public ledger is huge storage which contains the information of all the successful transaction after the creation of cryptocurrency. It also ensures or keeps records of the each and every wallet’s balance. In these transactions the information of the owner of wallets are encrypted with a unique cryptography skills and also makes sure to keep the legitimate records. It also uses public database system called block chain to ensure a secure and successful transaction.
Mining is a digital process of confirming the transaction is done. For sending the cryptocurrency through one individual wallet a miner must goes through series of mathematical puzzles which ensures the authenticity of the crypto signature of the doner wallet. After solving the series of mathematical puzzle one can successfully send the currency to any other wallet and the confirmation of the successful and secure more of transfer.
Transaction is a successful transfer of any type of cryptocurrency between two individual digital wallets. The transaction request done by any individual first goes to public ledger which verify the crypto signature which is given in the donating wallet as well as the receiving wallet and also check its balance information. After the verification of documents it allows the fund transfer to the receiving wallet. This whole process takes some times for a secure and successful transfer of the currency.
How to Buy Ethereum
To buy this crypto currency you have to follow some easy and simple steps such as,
Creating an exchange account
Unlike all other cryptocurrencies etereum is also should be purchased before any trading or transaction as it is a very highly reputed cryptocurrency you can visit to some sites like Coinbase, Kraken, Bitstamp and Gemini which allows the buying and trading of this coin. You have to only select an exchange option and create an account for it.
Verification of your account
To make a reputed exchange you have to verify your account by uploading some of your essential documents which may take up to two to three days for verification depending upon the the importance of the of the exchange you have opt for.
Fiat currency depositing
After the verification of your uploaded documents you will be eligible for the exchange. For the transaction you need to purchase some ethereum . For this many sites have many varity of option to purchase it.
After purchasing it you can successfuly opt for the ongoing trading and exchange options. And can make profit from it and it will be also easy to withdrawal.
Withdrawal of ETH into a crypto currency wallet
After the transaction or exchange or trading you can redeem the crypto currency into a wallet but as it is a online wallet you have to more cautious regarding the token you got as it can be hacked or stolen for the safety measure a backup pass code is used. These pass codes are very important in case of anything happens to the wallet you can retrieve the crypto currency. If you forget it then it will a problem to retrieve it.
How to invest the crypto currency
The investment of the crypto currency is also a very easy procedure during the time of exchange the doner have to go through a series of mathematical proof and problems which is verified. The time of verification for each and every transaction is up to 10 minis. If it is done correctly then it will be a successful transaction. The succeed transactions can be redeem to the user wallet and can be exchanged for fiat currency.
So ethereum is also one of the most popular crypto currencies which can be also useful for the trading purposes as it values are rising day by day. Feel free to visit the above website for trading the currency.